Section 15 of MMDR : Section 15: Power Of State Governments To Make Rules In Respect Of Minor Minerals

Explanation using Example

Imagine a construction company, "BuildItRight Inc.," which plans to open a new quarry to source granite for its building projects. The company must first apply for a quarry lease from the state government, as mandated by the Mines and Minerals (Development and Regulation) Act, 1957.

Following Section 15(1), the state has established rules that BuildItRight Inc. must follow. The company fills out the required application form, pays the specified fee, and submits it to the designated authority. The state rules, as per Section 15(1A), detail how the application will be acknowledged, the timeframe for this acknowledgment, and the process to be followed if there are competing applications for the same land received on the same day.

Once BuildItRight Inc. receives the quarry lease, it must adhere to the conditions set forth in the lease agreement, such as paying royalties or dead rent (as per Section 15(3)), providing facilities for government-deputed researchers (Section 15(1A)(f)), and ensuring the rehabilitation of flora in the mining area (Section 15(1A)(i)).

During the lease period, if BuildItRight Inc. wishes to transfer the lease to another company, they must follow the manner and conditions for transfer as prescribed by the state rules under Section 15(1A)(j).

Moreover, as part of its corporate social responsibility and in accordance with Section 15(4), BuildItRight Inc. is required to make contributions to the District Mineral Foundation, which supports the communities affected by mining operations.